While China Zenix Auto International (NYSE:ZX) remains the leader in the commercial vehicle wheel market in China, the slowing Chinese economy has resulted in a strong headwind for the company, as for three straight years demand for commercial vehicles in China has fallen in the aftermarket and OEM sectors.
In response to the conditions, China Zenix is focusing on maintaining market share, developing new products, improving the quality of its wheels, and strengthening internal management. Exports are also improving, specifically in the tubeless and tube segment. Expanding export regions include South East Asia, the Philippians, and Thailand. India has become more of a challenge.
It appears the commercial vehicle market in China is starting to stabilize. Even so,...
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